15+ statistics that prove the power of engaging your customers

Last updated
Jan 29, 2024
Gallup says that the majority of a customer's buying decisions are made from the heart rather than from the head. For customers, feelings are facts.

Gallup defines customer engagement as "the emotional or psychological connection that customers have with a brand, product, or company". It is considered as one of the most significant predictors of business growth.

Gallup says that majority of a customer's buying decisions are made from the heart rather than from the head. For emotionally connected customers, feelings are facts. 

To better guide your customer engagement strategy, we've gathered statistics to give you a clearer understanding of its impact.

More engaged customers are worth more

  • Customers who are fully engaged represent an additional 23% premium in terms of share of wallet, profitability, revenue, and revenue growth compared with the average customer. In contrast, actively disengaged customers represent a 13% discount in those same measures. (Gallup.com)
  • 57% of a purchase decision is already complete by the time your customers actually engage with you. (Oracle.com)
  • Returning customers spend 67% more than new customers (Manta & BIA Kelsey)
  • Customers who enjoy positive experiences are likely to remain customers for five years longer than customers who had negative experiences. (Deloitte.com)

Post pandemic, in-store visits are on the rise, yet so is online shopping

  • The in-store experience matters: 82% of shoppers say that the in-store experience is important or very important (Raydiant State of the In Store Experience, 2021).
  • According to a June 2023 survey by PWC, 40% of shoppers use their phones while walking up and down store aisles to access online product information and comparisons. More than a third (36%) use them while standing in front of a product to compare the price on a competing retailer’s outlet or website.

Pay attention to all channels - your customers are

  • 42% of consumers walk away from a brand in frustration if they are disappointed by its stance on social issues, and 21% never come back. (Accenture.com)
  • Almost 60% of US consumers are influenced to buy a brand, product, or service by the words, actions, values, and beliefs of a company's senior executives and other employees. (Accenture.com)

Investing in customer engagement brings returns

  • 60% of brands say that investing in digital customer engagement has improved their ability to meet changing customer needs. (Twilio.com)
  • Delivering positive customer experiences can reduce your cost to serve customers by up to 33%. (Source: Deloitte.com)
  • Investment in digital customer engagement increased revenue by 90% on average. (Twilio.com)
  • Companies with the strongest omni-channel rewards and customer engagement strategies enjoy a 10% year-on-year growth, a 10% increase in average order value and a 25% increase in close rates.(Adobe.com)
Twilio found that investment in digital customer engagement increased revenue for businesses by 90% on average.
Source: Twilio

Brands have a long way to go with personalization

  • 86% of consumers say that personalized experiences increase their loyalty to specific brands. (Twilio.com)
  • 80% of consumers are more likely to make a purchase when brands offer personalized experiences (Source: Epsilon.com)
  • Yet: 
Twilio report on customer engagement stats show that 91% of brands think they are personalizing, but only 56% of customers agree. Awk
Source: Twilio.com

  • Research shows that 71% of consumers expect companies to deliver personalized customer experiences, 76% of those get frustrated when this doesn’t happen (McKinsey):
Customer engagement statistics from McKinsey show that personalization is now the table stakes for customer communications

Personalization is hard without data

  • 42% of brands say that their top customer engagement challenge in 2023 is finding a balance between security and customer experience. (Twilio.com)

Even without data, it's possible to give the customers what they want

Personalization goes way beyond inserting someone's name into an email. It means communicating with customers more frequently, with better timing, and being more liberal with customer rewards.

The best part? Everything on this list, is another excuse to boost customer engagement by including a perk

McKinsey

By understanding and utilizing the power of customer engagement, businesses can not only retain their current customers but also attract new ones through positive word of mouth and increased brand advocacy.

What's next? Brush up on your customer loyalty statistics or schedule a chat to create a customer engagement plan.

About the author
Adrienne Kmetz
Adrienne is a marketing expert with a career history of working in startups of all sizes, from early stage to series A. She has 17+ years of experience writing about business, finance, and entrepreneurship. She went to Colorado College where she majored in skiing.
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